35 NJ hospitals sued over tax-exempt status

The tax-exempt status of 35 hospitals in New Jersey are uncertain due to a flurry of tax appeals filed in the state.

In June 2015, a tax court judge ruled Morristown (N.J.) Medical Center should not be exempt from property taxes as it failed to satisfy the legal test that it operated as a nonprofit, charitable organization for several tax years.

Following the judge's ruling, municipalities in New Jersey filed tax appeals against 35 nonprofit hospitals, according to NJ Advance Media, which cited information from the New Jersey Hospital Association.

Two of the 35 cases have been settled. In a resolution approved in June, Trinitas Regional Medical Center in Elizabeth, N.J., agreed to contribute $250,000 a year to the city from 2016 to 2019. After 2019, the hospital and city officials will negotiate a new settlement. Under a settlement reached last month, JFK Medical Center in Edison, N.J., will keep its tax-exempt status and pay a "community service fee" of $500,000 in 2016 and 2017. The hospital will pay the fee in subsequent years, unless a new agreement is reached, according to the report.

Here are the 35 New Jersey hospitals that have faced legal challenges over their tax status.

AtlantiCare Regional Medical Center City Campus (Atlantic City)       
AtlantiCare Regional Medical Center Mainland Campus (Galloway)    
Bayshore Community Hospital (Holmdel)
Capital Health (Hopewell)
CentraState Medical Center (Freehold)
Chilton Medical Center (Pequannock)
Clara Maass Medical Center (Belleville)                                                
Englewood (N.J.) Hospital and Medical Center
Hackensack UMC Palisades (North Bergen)                                                     
Holy Name Medical Center (Teaneck)                                                
Hunterdon Medical Center (Raritan Township)                                                            
Jersey City (N.J.) Medical Center                                                                                 
Jersey Shore University Medical Center (Neptune)                                           
JFK Health (Edison)                                                                                         
Kennedy University Hospital (Stratford)                                                          
Monmouth Medical Center (Long Branch)                                          
Monmouth Medical Center Southern Campus (Lakewood)                  
Newark (N.J.) Beth Israel Medical Center
Newton (N.J.) Memorial Hospital
Overlook Medical Center (Summit)
Princeton (N.J.) Healthcare System
Raritan Bay Medical Center (Old Bridge)
Raritan Bay Medical Center (Perth Amboy)
Riverview Medical Center (Red Bank)
Robert Wood Johnson University Hospital (New Brunswick)
Robert Wood Johnson University Hospital Hamilton (N.J.)
Robert Wood Johnson University Hospital Rahway (N.J.)
Robert Wood Johnson University Hospital Somerset (Somerville)
Saint Barnabas Medical Center (Livingston)
Shore Memorial Hospital (Somers Point)
St. Joseph's Hospital Wayne (N.J.)
St. Joseph's Regional Medical Center (Paterson)
The Valley Hospital (Ridgewood)
Trinitas Regional Medical Center (Elizabeth)
Virtua Memorial Hospital (Moorestown)

More articles on healthcare finance:

Experts share 5 tips for improving RCM
6 healthcare CFOs in the headlines
California hospital may reopen under lease deal

 



Copyright © 2024 Becker's Healthcare. All Rights Reserved. Privacy Policy. Cookie Policy. Linking and Reprinting Policy.

 

Featured Whitepapers

Featured Webinars

>